April 5, 2010
State Gets Refi Of Big Dig Debt
By Matthew L. Brown
The state Department of Transportation has refinanced bonds to save $30 million per year on debt incurred by Boston's "Big Dig" project.
The bond sale refinanced $325.7 million in Massachusetts Turnpike Authority debt. The DOT said the arrangement would save more than $20 million over the next 25 years.
The DOT in March approved a plan to refinance as much as $2.3 billion in MTA Metropolitan Highway System Revenue Bonds. Some of those bonds are "swaptions," risky financial transactions used by the former MTA to finance the Big Dig.
Eliminating the swaption-related bonds is expected to save about $2.5 million per month.
Gov. Deval Patrick abolished the MTA last year.
WBJ Web Partners
Most Recent
Most Recent
0 Comments